The bank had been one of the last remaining channels for financing trade flows between Russia and Switzerland because other major Russian banks are subject to sanctions over Russia’s invasion of Ukraine.
“The decision is the result of an in-depth strategy analysis and is being taken in close consultation with the Swiss Financial Market Supervisory Authority [FINMA],” Gazprombank’s board chairman, Ivan Dun, said in a statement.
Existing business relationships will be wound down or referred to external banking partners in the coming months, Gazprombank said.
The Russian bank had launched a strategic review in summer and a search for investors to buy the Zurich-based business. The bank had been operating in Switzerland since 1966 and under the Gazprombank (Switzerland) name since 2009.
Its Swiss business, which employs about 80 people, is mainly active in trade and export financing, including helping Swiss industrial groups finance exports to Eastern Europe. It also financed the extraction, transport and processing of raw materials from Russia to Western Europe for commodity traders.
Gazprombank has yet to feel the full force of Western sanctions following Russia’s invasion of Ukraine. But some European countries have been pushing for the bank to be expelled from the international payment system SWIFT in the next round of EU sanctions. There are reports that the US could also target Gazprombank with full blocking sanctions.
Another Russian bank, Sberbank, recently made the headlines in Switzerland. The Swiss branch of Russia’s Sberbank was sold to the Geneva-based m3 Groupe Holding company, freeing the bank from intensive supervision by the Swiss financial regulator, it was reported last month.
More
More
Russian Gazprombank considers sale of Swiss business
This content was published on
Gazprombank has announced it may sell its Swiss banking branch as it explores “potential strategic options”.
Train vs plane: would you take a direct train between London and Geneva?
Eurostar is planning to run direct trains from Britain to Germany and Switzerland from the early 2030s. Would you favour the train over the plane? If not, why not?
One in five Europeans exposed to too much traffic noise
This content was published on
More than one in five Europeans are exposed to unhealthily high levels of traffic noise, according to the European Environment Agency (EEA).
New living space through densification often comes at expense of the poor
This content was published on
If demolition and new construction are carried out and tenants have to make way, low-income households are affected more often than average.
This content was published on
The ceasefire in the Iran-Israel war has visibly eased tensions on the financial markets. The SMI, Switzerland's leading stock market index, has risen above the 12,000 point mark again.
This content was published on
Geneva, which is facing several days of very hot weather, has raised its level of vigilance with regard to the risk of forest fires and is issuing an appeal for caution.
Zurich arbitration authority rules in favour of tenants of ‘Sugus Houses’
This content was published on
A conciliation authority says the terminations of 105 flat leases in the so-called "Sugus Houses" in the centre of Zurich were abusive. The tenants therefore do not have to move out - at least for the time being.
This content was published on
Visitors to Switzerland spent CHF19.6 billion ($23.9 billion) last year, a 2.2% rise compared to the previous year, the Federal Statistical Office (FSO) said on Monday.
This content was published on
Despite the current tense economic situation, Swiss consumer sentiment remains positive. The Swiss spent more money in May than the previous year, particularly on restaurant visits and leisure activities, as shown by the latest figures released by PostFinance.
This content was published on
A bear killed four sheep in the Lower Engadine region near Scuol, canton Graubünden, last week. This was the first bear attack on local livestock in four years.
Leonid Nevzlin: ‘Swiss Banks must choose – money or decency’
This content was published on
Former energy magnate Leonid Nevzlin on western sanctions against Russia and Switzerland's role in the war against Ukraine.
Russia’s Sberbank Switzerland changes hands to new Swiss owner
This content was published on
The Swiss branch of Russia’s Sberbank is sold to Swiss m3 Groupe Holding company, and will change its name to TradeXBank.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.